Search: solvency
RBA Glossary definition for solvency
solvency – The capacity of an entity to meet its financial obligations as they fall due. Solvency may be expressed as maintaining positive net-tangible assets.
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Central Counterparty Loss Allocation and Transmission of Financial Stress
16 Mar 2015
RDP
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1285KB
Following Heath, Kelly and Manning (2013), the paper examines liquidity and solvency risk under alternative clearing configurations, but extends the analysis in two main ways. ... 4.2.2 Loss allocation under VMGH 30 4.2.3 Price and solvency shocks 32
https://www.rba.gov.au/publications/rdp/2015/pdf/rdp2015-02.pdf
Macrofinancial Stress Testing on Australian Banks
13 Sep 2023
RDP
PDF
1940KB
stays constant. This reflects that our focus in this model is on bank solvency (i.e.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-03.pdf
Current Account Deficits: The Australian Debate
12 Mar 2007
RDP
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289KB
1 Milesi-Ferretti and Razin (1996) provide a thorough discussion of solvency – when the. ... Optimality by definition will satisfy solvency, but it will not necessarily satisfy sustainability.
https://www.rba.gov.au/publications/rdp/2007/pdf/rdp2007-02.pdf
The Role of Collateral in Borrowing
14 Jan 2021
RDP
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1784KB
The Role of Collateral in Borrowing. Nicholas Garvin, David W Hughes and José-Luis Peydró. Research Discussion Paper. R D P 2021- 01. Figures in this publication were generated using Mathematica. ISSN 1448-5109 (Online). The Discussion Paper
https://www.rba.gov.au/publications/rdp/2021/pdf/rdp2021-01.pdf
Currency Demand during the Global Financial Crisis: Evidence from Australia
2 Feb 2015
RDP
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633KB
4. discussion). History has shown that bank runs can quickly turn a liquidity problem into a solvency crisis (see Reinhart and Rogoff (2009) for a review). ... As property prices collapsed, depositors became concerned about the solvency of some exposed
https://www.rba.gov.au/publications/rdp/2013/pdf/rdp2013-01.pdf
THE 1930'S AND THE 1980'S: SOME FACTS P.D. Jonson ...
23 Feb 2017
RDP
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1608KB
The rate on Australian government securities rose from the mid1920's to 1930/31, reflecting, at least towards the end of this period, declining confidence in the solvency of Australian government
https://www.rba.gov.au/publications/rdp/1983/pdf/rdp8303.pdf
Credit Supply and Demand and the Australian Economy
31 Jan 2006
RDP
PDF
637KB
The second aspect of agency costs is their cyclical nature. They are likely to decline when borrowers are more solvent, and rise as solvency declines (Bernanke and Gertler (1989)). ... Solvency is a function of factor prices and profits, which are driven
https://www.rba.gov.au/publications/rdp/1992/pdf/rdp9208.pdf
Why Do Companies Fail?
21 Nov 2016
RDP
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1050KB
Research Discussion Paper. Why Do Companies Fail? Rose Kenney, Gianni La Cava and David Rodgers. RDP 2016-09. Figures in this publication were generated using Mathematica. The contents of this publication shall not be reproduced, sold or
https://www.rba.gov.au/publications/rdp/2016/pdf/rdp2016-09.pdf
Emergency Liquidity Injections
3 Oct 2019
RDP
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2093KB
Emergency Liquidity Injections. Nicholas Garvin. Research Discussion Paper. R D P 2019 -10. The contents of this publication shall not be reproduced, sold or distributed without the prior consent of the Reserve Bank of Australia and, where applicable
https://www.rba.gov.au/publications/rdp/2019/pdf/rdp2019-10.pdf
Central Counterparty Links and Clearing System Exposures
2 Feb 2015
RDP
PDF
3395KB
Although the probability ofa CCP default is small, such an event could threaten the solvency of any survivinglinked CCPs if the number of trades cleared across the link and the adversemovement ... solvency of the others.
https://www.rba.gov.au/publications/rdp/2013/pdf/rdp2013-12.pdf